Portfolio Management System Market - Forecasts from 2020 to 2025
Global portfolio management system market was valued at US$12.362 billion in 2019. Portfolio management is the art of managing a collection of investment tools. These tools include stocks and shares, bonds, cash, and mutual funds and with a growing number of them across the globe, the need for their proper management is also increasing. Portfolio management tools use complex algorithms in order to facilitate the selection of the best available securities or tools that are anticipated to provide high rates of return for a specific degree of risk while minimizing risks. As economies continue to grow, this is a critical decision that needs to be taken by top-level managers. Since technologies are becoming advanced, portfolio managers are increasing their confidence in these solutions. Clearly, continuous advancements in technologies are key drivers for the growth in this market. The global BFSI sector is showing a continuous increase in uptake of advanced technologies like the Internet of Things (IoT) and Artificial Intelligence (AI). According to Knowledge Sourcing Intelligence estimates, the total spending by the sector into artificial intelligence, for instance, stood at US$10.096 billion in 2019 and is expected to show an increase of around 18% over the next five years to reach a total of around US$27 billion in 2025. This shows the confidence of players across this industry into technologies, and as this continues, the adoption of tools like portfolio management system is increasing, thus driving the market growth. Another major factor, the impressive market growth is attributed to, is expanding portfolios of customers across the globe. Growing mergers and acquisition activities across the globe, mainly on account of the increasing need for greater scale and more resources among sellers and difficulty in achieving growth organically among buyers, are continuously expanding the portfolios held by customers. Many companies are selling businesses owing to their unwillingness to wait for valuations to drop or for economic disruptions to kick in. While sellers continue to increase their focus on core business activities by concentrating resources into meeting objectives of core businesses, strategic buyers are focusing on becoming more flexible in deciding the structure of acquisitions in order to offset the impact of bank financing on the acquisition. Since acquisitions tend to boost the growth of buyers’ businesses by expanding their market coverage and getting the required resources to increase revenues, strategic buyers are offering lucrative deals to potential sellers. These trends are increasing the M&A activities across the globe, thus expanding customers’ portfolios across sectors like communication and technology, healthcare, business services, retail, and financial services among others. According to data from the Institute for Mergers, Acquisitions, and Alliances (IMAA), the total number of M&A transactions in 2019 stood at 49,849 with a combined value of US$3.701 trillion. Over the last 10 years, the numbers have witnessed impressive growth since the number of transactions in 2009 totaled 40,710 with a total value of US$2.187 trillion. Huge losses associated with poor management of portfolios are driving the need for advanced solutions for their management among end-users, thus boosting the market growth.
Huge investments by many market players into innovation are expected to continue driving the market growth over the projected period. Many solution providers are leveraging advanced technologies and pumping huge investments in order to develop more robust solutions for portfolio management for customers. For instance, Aladdin, a portfolio management software developed by technology experts at BlackRock, Inc., uses complex algorithms to give bird’s eye view of portfolios to wealth managers in order to aid them in assessing volatilities and uncertainties pertaining to markets.
The global portfolio management system market has been segmented on the basis of deployment model, enterprise size, end-user industry, and geography. By deployment model, the global portfolio management system market has been segmented into On-premise and cloud. By enterprise size, the market has been segmented into small, medium, and large. By the end-user industry, the market has been segmented into communication and technology, healthcare, business services, financial services, manufacturing, and retail among others.
North America and Europe accounted for a significant market share
Geographically, the global portfolio management system market has been segmented as North America, South America, Europe, Middle East and Africa, and Asia Pacific. To give a clearer view of the market, the regional markets have been further segmented into countries that account for a significant market share. North America and Europe together accounted for a fairly large market share in 2019 on account of a large number of M&A transactions completed in these regions. Booming businesses in North America, especially in the United States, are showing an increasing number of investments and spending. In Europe, very low-interest rates in some countries are pushing enterprises towards making investments. With very low-interest rates, governments have been successful in promoting spending by enterprises, which is increasing the number of mergers and acquisitions in this region. Investments in the business expansion are also picking up pace in this region as a result of low rates of interest, thus further supporting the market growth. The Asia Pacific portfolio management system market is poised to witness rapid growth over the forecast period. The market growth in this region will majorly be driven by continuous pumping of huge investments by global players across industries into this region. The rapid growth of industries, on account of the easy availability of resources, will continue to support the portfolio management system market growth. Other regions like the Middle East and Africa and South America held a relatively small share in this market in 2019. However, good market growth is expected in these regions as well over the forecast period. Increasing investments across industries in these regions, and the availability of portfolio management solutions at affordable costs, are expected to be key drivers for market growth across them.
Competitive Insights
Prominent key market players in the global portfolio management system market include BlackRock, Inc., Charles River Systems, Inc., MSCI Inc., The Vanguard Group, Inc., T. Rowe Price Group, Inc., FactSet, HedgeGuard, Broadridge Financial Solutions, Inc., SAGE Group SA, and FA SOLUTIONS. These companies hold a noteworthy share in the market on account of their good brand image and product offerings. Major players in the portfolio management system market have been covered along with their relative competitive position and strategies. The report also mentions recent deals and investments of different market players over the last two years.
Segmentation
Huge investments by many market players into innovation are expected to continue driving the market growth over the projected period. Many solution providers are leveraging advanced technologies and pumping huge investments in order to develop more robust solutions for portfolio management for customers. For instance, Aladdin, a portfolio management software developed by technology experts at BlackRock, Inc., uses complex algorithms to give bird’s eye view of portfolios to wealth managers in order to aid them in assessing volatilities and uncertainties pertaining to markets.
The global portfolio management system market has been segmented on the basis of deployment model, enterprise size, end-user industry, and geography. By deployment model, the global portfolio management system market has been segmented into On-premise and cloud. By enterprise size, the market has been segmented into small, medium, and large. By the end-user industry, the market has been segmented into communication and technology, healthcare, business services, financial services, manufacturing, and retail among others.
North America and Europe accounted for a significant market share
Geographically, the global portfolio management system market has been segmented as North America, South America, Europe, Middle East and Africa, and Asia Pacific. To give a clearer view of the market, the regional markets have been further segmented into countries that account for a significant market share. North America and Europe together accounted for a fairly large market share in 2019 on account of a large number of M&A transactions completed in these regions. Booming businesses in North America, especially in the United States, are showing an increasing number of investments and spending. In Europe, very low-interest rates in some countries are pushing enterprises towards making investments. With very low-interest rates, governments have been successful in promoting spending by enterprises, which is increasing the number of mergers and acquisitions in this region. Investments in the business expansion are also picking up pace in this region as a result of low rates of interest, thus further supporting the market growth. The Asia Pacific portfolio management system market is poised to witness rapid growth over the forecast period. The market growth in this region will majorly be driven by continuous pumping of huge investments by global players across industries into this region. The rapid growth of industries, on account of the easy availability of resources, will continue to support the portfolio management system market growth. Other regions like the Middle East and Africa and South America held a relatively small share in this market in 2019. However, good market growth is expected in these regions as well over the forecast period. Increasing investments across industries in these regions, and the availability of portfolio management solutions at affordable costs, are expected to be key drivers for market growth across them.
Competitive Insights
Prominent key market players in the global portfolio management system market include BlackRock, Inc., Charles River Systems, Inc., MSCI Inc., The Vanguard Group, Inc., T. Rowe Price Group, Inc., FactSet, HedgeGuard, Broadridge Financial Solutions, Inc., SAGE Group SA, and FA SOLUTIONS. These companies hold a noteworthy share in the market on account of their good brand image and product offerings. Major players in the portfolio management system market have been covered along with their relative competitive position and strategies. The report also mentions recent deals and investments of different market players over the last two years.
Segmentation
- By Deployment Model
- On-Premise
- Cloud
- By Enterprise Size
- Small
- Medium
- Large
- By End-User Industry
- Communication and Technology
- Healthcare
- Business Services
- Financial Services
- Manufacturing
- Retail
- Others
- By Geography
- North America
- USA
- Canada
- Mexico
- South America
- Brazil
- Argentina
- Others
- Europe
- UK
- Germany
- France
- Spain
- Others
- Middle East and Africa
- Saudi Arabia
- UAE
- Israel
- Others
- Asia Pacific
- China
- Japan
- South Korea
- Australia
- India
- Others
1. INTRODUCTION
1.1. Market Definition
1.2. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
2.2. Assumptions
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY DEPLOYMENT MODEL
5.1. Introduction
5.2. On-Premise
5.3. Cloud
6. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY ENTERPRISE SIZE
6.1. Introduction
6.2. Small
6.3. Medium
6.4. Large
7. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY END-USER INDUSTRY
7.1. Introduction
7.2. Communication and Technology
7.3. Healthcare
7.4. Business Services
7.5. Financial Services
7.6. Manufacturing
7.7. Retail
7.8. Others
8. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY GEOGRAPHY
8.1. Introduction
8.2. North America
8.2.1. North America Portfolio Management System Market, By Deployment Model
8.2.2. North America Portfolio Management System Market, By Enterprise Size
8.2.3. North America Portfolio Management System Market, By End-User Industry
8.2.4. By Country
8.2.4.1. USA
8.2.4.2. Canada
8.2.4.3. Mexico
8.3. South America
8.3.1. South America Portfolio Management System Market, By Deployment Model
8.3.2. South America Portfolio Management System Market, By Enterprise Size
8.3.3. South America Portfolio Management System Market, By End-User Industry
8.3.4. By Country
8.3.4.1. Brazil
8.3.4.2. Argentina
8.3.4.3. Others
8.4. Europe
8.4.1. Europe Portfolio Management System Market, By Deployment Model
8.4.2. Europe Portfolio Management System Market, By Enterprise Size
8.4.3. Europe Portfolio Management System Market, By End-User Industry
8.4.4. By Country
8.4.4.1. UK
8.4.4.2. Germany
8.4.4.3. France
8.4.4.4. Spain
8.4.4.5. Others
8.5. Middle East and Africa
8.5.1. Middle East and Africa Portfolio Management System Market, By Deployment Model
8.5.2. Middle East and Africa Portfolio Management System Market, By Enterprise Size
8.5.3. Middle East and Africa Portfolio Management System Market, By End-User Industry
8.5.4. By Country
8.5.4.1. Saudi Arabia
8.5.4.2. UAE
8.5.4.3. Israel
8.5.4.4. Others
8.6. Asia Pacific
8.6.1. Asia Pacific Portfolio Management System Market, By Deployment Model
8.6.2. Asia Pacific Portfolio Management System Market, By Enterprise Size
8.6.3. Asia Pacific Portfolio Management System Market, By End-User Industry
8.6.4. By Country
8.6.4.1. China
8.6.4.2. Japan
8.6.4.3. South Korea
8.6.4.4. Australia
8.6.4.5. India
8.6.4.6. Others
9. COMPETITIVE ENVIRONMENT AND ANALYSIS
9.1. Major Players and Strategy Analysis
9.2. Emerging Players and Market Lucrativeness
9.3. Mergers, Acquisitions, Agreements, and Collaborations
9.4. Vendor Competitiveness Matrix
10. COMPANY PROFILES
10.1. BlackRock, Inc.
10.2. Charles River Systems, Inc.
10.3. MSCI Inc.
10.4. The Vanguard Group, Inc.
10.5. T. Rowe Price Group, Inc.
10.6. FactSet
10.7. HedgeGuard
10.8. Broadridge Financial Solutions, Inc.
10.9. SAGE Group SA
10.10. FA SOLUTIONS
1.1. Market Definition
1.2. Market Segmentation
2. RESEARCH METHODOLOGY
2.1. Research Data
2.2. Assumptions
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porters Five Forces Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY DEPLOYMENT MODEL
5.1. Introduction
5.2. On-Premise
5.3. Cloud
6. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY ENTERPRISE SIZE
6.1. Introduction
6.2. Small
6.3. Medium
6.4. Large
7. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY END-USER INDUSTRY
7.1. Introduction
7.2. Communication and Technology
7.3. Healthcare
7.4. Business Services
7.5. Financial Services
7.6. Manufacturing
7.7. Retail
7.8. Others
8. GLOBAL PORTFOLIO MANAGEMENT SYSTEM MARKET ANALYSIS, BY GEOGRAPHY
8.1. Introduction
8.2. North America
8.2.1. North America Portfolio Management System Market, By Deployment Model
8.2.2. North America Portfolio Management System Market, By Enterprise Size
8.2.3. North America Portfolio Management System Market, By End-User Industry
8.2.4. By Country
8.2.4.1. USA
8.2.4.2. Canada
8.2.4.3. Mexico
8.3. South America
8.3.1. South America Portfolio Management System Market, By Deployment Model
8.3.2. South America Portfolio Management System Market, By Enterprise Size
8.3.3. South America Portfolio Management System Market, By End-User Industry
8.3.4. By Country
8.3.4.1. Brazil
8.3.4.2. Argentina
8.3.4.3. Others
8.4. Europe
8.4.1. Europe Portfolio Management System Market, By Deployment Model
8.4.2. Europe Portfolio Management System Market, By Enterprise Size
8.4.3. Europe Portfolio Management System Market, By End-User Industry
8.4.4. By Country
8.4.4.1. UK
8.4.4.2. Germany
8.4.4.3. France
8.4.4.4. Spain
8.4.4.5. Others
8.5. Middle East and Africa
8.5.1. Middle East and Africa Portfolio Management System Market, By Deployment Model
8.5.2. Middle East and Africa Portfolio Management System Market, By Enterprise Size
8.5.3. Middle East and Africa Portfolio Management System Market, By End-User Industry
8.5.4. By Country
8.5.4.1. Saudi Arabia
8.5.4.2. UAE
8.5.4.3. Israel
8.5.4.4. Others
8.6. Asia Pacific
8.6.1. Asia Pacific Portfolio Management System Market, By Deployment Model
8.6.2. Asia Pacific Portfolio Management System Market, By Enterprise Size
8.6.3. Asia Pacific Portfolio Management System Market, By End-User Industry
8.6.4. By Country
8.6.4.1. China
8.6.4.2. Japan
8.6.4.3. South Korea
8.6.4.4. Australia
8.6.4.5. India
8.6.4.6. Others
9. COMPETITIVE ENVIRONMENT AND ANALYSIS
9.1. Major Players and Strategy Analysis
9.2. Emerging Players and Market Lucrativeness
9.3. Mergers, Acquisitions, Agreements, and Collaborations
9.4. Vendor Competitiveness Matrix
10. COMPANY PROFILES
10.1. BlackRock, Inc.
10.2. Charles River Systems, Inc.
10.3. MSCI Inc.
10.4. The Vanguard Group, Inc.
10.5. T. Rowe Price Group, Inc.
10.6. FactSet
10.7. HedgeGuard
10.8. Broadridge Financial Solutions, Inc.
10.9. SAGE Group SA
10.10. FA SOLUTIONS
